Crypto Predictive Analysis for the Week of May 8, 2022 — Bat Country

Bitcoin Analysis

The (Bitcoin)BTC price has been falling for the four straight days, piercing the 35000 psychological support level. If sellers sustain this fallout, the potential freefall will pull the coin price to the $33000 support level, suggesting a 4.65% fall. Since the $45000 fallout, the Bitcoin(BTC) price has witnessed aggressive selling from the coin traders, registering a 28% loss. Additionally, the bear cycle has breached the $40000, $37000, and recently $35000 support level. The $40000 breakdown intensified the prevailing market sentiment and plunged the coin by 12.7%. The post retest fall accounted for four consecutive red candles and pulled the coin to its current price at $34641.

  • Resistance level- $35000, and $40000
  • Support level- $33000 and $30000

Ethereum Analysis

A bearish reversal from the new descending trendline on May 4 indicates that the traders continue selling on minor pullbacks. The ongoing correction had recently breached the $2800 support and challenged the lower support level of $2500. Thus, if coin holders lose this support, the Ethereum(ETH) price may plunge to January’s bottom support of $2300. The deflation breaks below the $3000 mark and approaches the next psychological support of $2500. Furthermore, the increasing trend momentum evident by the rise in trading volume over the week, bolster the $2500 fallout.

  • Resistance levels: $2730 and $3000
  • Support levels: $2500 and $2300

Altcoin Analysis

Axie Infinity (AXS) Analysis

The Axie Infinity(AXS) price retests the $27 support twice within a fortnight. Moreover, an evident bullish divergence in the daily-RSI indicates the buying pressure at $27, encouraging the formation of a double bottom pattern. The bullish pattern should push the coin price above $35. On May 5th, the AXS price went through a failed attempt to surpass the $35 resistance and plunged back to the $27 mark. However, a second bounce back from this support suggests the traders are quite interested in this dip.

  • Resistance levels- $2.65 and $3.3
  • Support levels- $27 and $20

Algorand (ALGO) Analysis

Struggling to settle the trend volatility near the $0.66 support zone, the (Algorand)ALGO prices gain bullish influence as the overall crypto market is recovering positively after a sharp fall. But should you consider buying into the bullish rally or wait till the trend settles? If the ALGO price sustained above the $0.68 mark, the trapped sellers would eventually liquidate their holding and bring more buy orders into the market. The rising bullish momentum would drive the altcoin above the $0.8 mark. On a contrary note, the fallout from the $0.66 would threaten the bullish thesis and plunge back to the $0.53 mark.

  • Resistance levels: $0.78 and $1
  • Support levels: $0.66 and $0.54

Fantom (FTM) Analysis

A fresh falling channel pattern drives the Fantom(FTM) price to the ground or below the $1 mark in a less demeaning way. The recent bearish reversal brings the altcoin to $0.70 with an engulfing candle, struggling to continue underneath it. However, till the $0.6 support level stands, a bullish reversal possibility and an opportunity to buy this dip remain on the card. The bearish pattern forming within the more significant trend reflects an astonishing increase in the downtrend momentum. Additionally, the intraday trading volume has increased over the past week, reflecting the increased interest in the token in the market.

  • Resistance levels- $1 and $1.25
  • Support levels- $0.64-$0.6 and $0.41

Conclusion

A single wallet has dumped a massive 285 million UST onto Curve and Binance, resulting in massive outflows that caused UST to briefly depeg. Bitcoin’s drop to $35,000 aggravated the fears of most traders and investors on the crypto market as more market participants left the space for a better time. The negative sentiment is being fueled by massive liquidation volume, which now sits at almost $300 million. The value locked in decentralized finance (defi) protocols has lost 17.77% over the last 30 days, falling from $221.67 billion to today’s $182.27 billion. Moreover, statistics show the total value locked (TVL) across a broad range of defi protocols shed significant value during the last seven days.

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Adam Tracy

Adam Tracy

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Crypto Influencer | Blockchain Evangelist | Ex Pro Rugby Player | Find Me: https://linktr.ee/adamtracy